The accused, Ugochukwu Godpower, was nabbed from Banjara Hills area in the city during a joint operation while he was on his way to deliver cocaine to customers.
During the interrogation, Ugochukwu revealed that he used to purchase cocaine for Rs 3,000 per gram from another accused Davis Chris Richard Mueller, a native of Kenya (who is absconding) and sold it for Rs 5,000-Rs 6,000 per gram to the customers at different locations in the city, police said.
In November last year, he had been arrested along with four others by Golconda Police in a similar case and was sent to judicial remand. However, after his release from jail in December, he had again started peddling drugs, police said.
Further probe is being carried out to unearth the network of local and foreign drug dealers, police said.